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History, Geography and Demographics of Saudi Arabia

History, Geography and Demographics of Saudi Arabia

History

Background: In 1902 Abdul al-Aziz Ibn SAUD captured Riyadh and set out on a 30-year campaign to unify the Arabian peninsula. In the 1930s, the discovery of oil transformed the country. Following Iraq's invasion of Kuwait in 1990, Saudi Arabia accepted the Kuwaiti royal family and 400,000 refugees while allowing Western and Arab troops to deploy on its soil for the liberation of Kuwait the following year. A burgeoning population, aquifer depletion, and an economy largely dependent on petroleum output and prices are all major governmental concerns.

Geography

Location: Middle East, bordering the Persian Gulf and the Red Sea, north of Yemen

Environment - current issues: desertification; depletion of underground water resources; the lack of perennial rivers or permanent water bodies has prompted the development of extensive seawater desalination facilities; coastal pollution from oil spills

Environment - international agreements:
party to: Climate Change, Desertification, Endangered Species, Hazardous Wastes, Law of the Sea, Ozone Layer Protection
signed, but not ratified: none of the selected agreements

Constitution: governed according to Shari'a (Islamic law); the Basic Law that articulates the government's rights and responsibilities was introduced in 1993

Legal system: based on Islamic law, several secular codes have been introduced; commercial disputes handled by special committees; has not accepted compulsory ICJ jurisdiction

Suffrage: none

Executive branch:
chief of state: King and Prime Minister FAHD bin Abd al-Aziz Al Saud (since 13 June 1982); Crown Prince and First Deputy Prime Minister ABDALLAH bin Abd al-Aziz Al Saud (half-brother to the monarch, heir to the throne since June 13 1982, regent from January 1 to February 22 1996); note - the monarch is both the chief of state and head of government
head of government: King and Prime Minister FAHD bin Abd al-Aziz Al Saud (since June 13, 1982); Crown Prince and First Deputy Prime Minister ABDALLAH bin Abd al-Aziz Al Saud (half-brother to the monarch, heir to the throne since 13 June 1982, regent from January 1 to February 22 1996); note - the monarch is both the chief of state and head of government
cabinet: Council of Ministers is appointed by the monarch and includes many royal family members.
elections: none; the monarch is hereditary

Legislative branch: a consultative council (90 members and a chairman appointed by the monarch for four-year terms)

Flag description: green with large white Arabic script (that may be translated as There is no God but God; Muhammad is the Messenger of God) above a white horizontal saber (the tip points to the hoist side); green is the traditional color of Islam

Economy - overview: This is an oil-based economy with strong government controls over major economic activities. Saudi Arabia has the largest reserves of petroleum in the world (26% of the proved total), ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 75% of budget revenues, 40% of GDP, and 90% of export earnings. About 35% of GDP comes from the private sector. Saudi Arabia was a key player in the successful efforts of OPEC and other oil producing countries to raise the price of oil in 1999 to its highest level since the Gulf War by reducing production. Although oil prices are expected to remain relatively high in 2000, Riyadh expects to have a $7.5 billion budget deficit in part because of increased spending for education and other social problems. The government in 1999 announced plans to begin privatizing the electricity companies, which follows the ongoing privatization of the telecommunications company. The government is expected to continue calling for private sector growth to lessen the kingdom's dependence on oil and increase employment opportunities for the swelling Saudi population. Shortages of water and rapid population growth will constrain government efforts to increase self-sufficiency in agricultural products.

Roughly 4 million foreign workers play an important role in the Saudi economy, for example, in the oil and service sectors. Many of these foreign workers, especially in the less well-paying positions, come from India, Pakistan, or the Philippine Islands. However, the Saudi government is making an effort to reserve jobs in the service sector for Saudi nationals. In November, 2002, the Saudi Interior Ministry's Manpower Council banned expatriates from driving taxis and working in the gold and jewelry industries. These moves were resisted by Saudi businessmen.

Telephones - mobile cellular: 1 million
note: in 1998, the government contracted for the installation of 575,000 additional Group Speciale Mobile (GSM) cellular telephone lines over 15 months to raise the total number of subscribers to more than one million; Riyadh planned to further expand the GSM system in 1999 by adding an additional one million lines (1998)

Disputes - international: large section of boundary with Yemen not defined; location and status of boundary with UAE is not final, de facto boundary reflects 1974 agreement; Kuwaiti ownership of Qaruh and Umm al Maradim islands is disputed by Saudi Arabia; June 1999 agreement has furthered the goal of definitively establishing the border with Qatar